Review article
https://doi.org/10.46458/27121097.2021.27.164
EFFICACY OF SUPPLIERS PERFORMANCE EVALUATION IN A DYNAMIC BUSINESS ENVIRONMENT USING DATA ENVELOPMENT ANALYSIS (DEA)
Bayode Olusanya Babatunde
; Department of Business Administration, Faculty of Management Sciences, Osun State University, Nigeria
Adeniran Rahmon Tella
; Department of Business Administration, Faculty of Management Sciences, Osun State University, Nigeria
Theophilus T. Onewo
; Department of Business Administration, Faculty of Management Sciences, Osun State University, Nigeria
Abstract
Supplier performance evaluation plays a vital role in the creating an effective business survival especially in pessimistic business environment. More also, evaluation of supplier performance is important for an enterprise to survive in a competitive local and global market. The study x-rays the benefit of data envelopment analysis in evaluating the performance of decision-making units (DMUs). DEA is a mathematical programming tool applied in performance measurement. A case scenario is presented to show the efficiency of the selected suppliers’ selection and the most competent in ranking order. The DMUs results demonstrated that the model has the capacity to measure effectiveness, efficiency and most preferred supplier for business sustainability in an unstable business environment. The DMUs model can be used by decision makers to select the most efficient and economical business partner (supplier) for business survival.
Keywords
supplier; performance evaluation; data envelopment analysis model; decision-making units;
Hrčak ID:
271508
URI
Publication date:
28.12.2021.
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